HURRICANES AND THE OFFSHORE OIL AND NATURAL GAS INDUSTRY

Transcription

1 HURRICANES AND THE OFFSHORE OIL As the Atlantic Ocean warms every summer, America s casts brace fr the impact f hurricanes and trpical strms. The 2017 hurricane seasn was amng the tp 10 mst active in histry and was the mst expensive hurricane seasn in U.S. histry. There were mre than 17 named strms and six majr hurricanes including Harvey, Maria, and Irma, with mre than $200 billin in damages. Did yu knw: There were n reprted deaths r injuries amng ffshre energy wrkers? There was n reprted damage t ffshre facilities? There were n reprted il spill r natural gas leaks frm ffshre facilities? There are nearly 3,000 active platfrms and mre than 27,000 miles f pipeline in the Gulf f Mexic? The Gulf f Mexic prduces 17% f U.S. il and 5% f U.S. natural gas? Hurricane Harvey temprarily curtailed abut 25% f il prductin and 26% f natural gas prductin frm the Gulf f Mexic? Trpical Strm Nate temprarily stpped abut 92% f il prductin and 77% f natural gas prductin frm the Gulf f Mexic? The ffshre industry cntinuusly wrks t imprve its safety and envirnmental recrd, as well as imprve the time needed t bring shut-in prductin back t cnsumers? 2017 Hurricane Seasn Summary Map 1120 G Street, NW, Suite 900, Washingtn, DC Tel Fax

2 HURRICANE FACT: OFFSHORE PLATFORMS ARE DESIGNED TO SURVIVE DESTRUCTIVE STORMS THE OFFSHORE PLATFORMS AND RIGS ESCAPED SERIOUS DAMAGE DURING THE 2017 HURRICANE SEASON Even the mst damaged facilities are salvageable. Platfrms are designed t withstand bth gale frce winds and and severe wave activity. Offshre facilities built since 1988 are designed t withstand 100-year Strms, a designatin that includes everything up t Categry 5 events. Fr example, Shell s Mars platfrm sustained serius damage during Hurricane Katrina (abve), but dedicated and talented crews were able t repair the facility (belw). These standards are defined by regulatins frm the Bureau f Safety and Envirnmental Enfrcement (BSEE), a principal regulatry agency fr ffshre il and gas peratins. The specific regulatins can be fund in the Federal Register at 30 CFR T address wave threats, regulatins stipulate that the platfrm deck must exceed the average height f hurricane-driven swells, generally estimated t reach 80 feet. Categry 3, 4 and 5 strms all generate waves f apprximately the same height. T address wind threats, ffshre facilities wrk in advance f evacuatin t prevent any sectin r piece f equipment being kncked lse and damaging the rest f the platfrm was the last time there was significant damage t ffshre platfrms due t hurricanes, but virtually all platfrms seriusly damaged r destryed had been built befre the 1988 design specificatins were implemented. In 2005, Hurricanes Katrina and Rita destryed a ttal f 113 platfrms, f which 108 were built t pre-1988 specificatins. These end-f-life facilities nly represented 1.5 percent f ttal Gulf f Mexic prductin at the time G Street, NW, Suite 900, Washingtn, DC Tel Fax

3 HURRICANE FACT: EMPLOYEE SAFETY ALWAYS TAKES PRIORITY Thusands f ffshre persnnel are evacuated in advance f appraching hurricanes THE OFFSHORE ENERGY INDUSTRY HAS AN ENVIABLE RECORD OF PROTECTING THE LIVES OF ITS OFFSHORE WORKERS, AND COMPANIES PROVIDE CRITICAL SUPPORT DURING RECOVERY EFFORTS ONSHORE DURING EVERY HURRICANE SEASON. There are thusands f wrkers ffshre at any given time. Despite the frequency and intensity f hurricanes in 2017, there were n injuries and n lss f life n ffshre facilities. This safety recrd has been achieved cnsistently year after year. Prir t the arrival f a hurricane, ffshre facilities evacuate all persnnel. Persnnel secure the platfrm and leave in pre-determined stages. A standard hurricane preparatin prcess includes: Evacuatin Phase 1 - Receive Strm Ntificatin Review peratins frecast. Cmmunicate with air and marine transprtatin prviders. Perfrm safety system checks. Evacuatin Phase 2 - Cmplete Preparatins Secure all equipment. Test cmmunicatins systems that enable mnitring frm shre. Evacuate nn-essential persnnel. Evacuatin Phase 3 - Shut Dwn and Evacuatin Shut-in wells and subsurface safety valves Clse incming and exit pipelines Shut dwn perating systems Transprt remaining persnnel t shre After Hurricane Harvey, as with past hurricanes, ffshre cmpanies stepped in t prvide supprt services, emergency funds, husing and ther assistance t their emplyees, and als dnated millins t the Red Crss and similar rganizatins G Street, NW, Suite 900, Washingtn, DC Tel Fax

4 HURRICANE FACT: ENVIRONMENTAL SAFEGUARDS ARE BUILT IN TO THE OFFSHORE INFRASTRUCTURE All ffshre platfrms are equipped with safety valves that shut-in il and natural gas in the event f strm damage. These valves lck clsed at regular intervals s that il r gas cannt flw if equipment is brken r separated. Every single safety valve held during the 2017 hurricane seasn. Safety valves at all majr junctures prevent il and natural gas leaks when hurricanes cause damage 1120 G Street, NW, Suite 900, Washingtn, DC Tel Fax

5 BACKGROUND INFORMATION: A BRIEF INTRODUCTION TO OFFSHORE TECHNOLOGY UNDERSTANDING THE TECHNOLOGY: RIGS VS. PLATFORMS Jack-up Rig An ffshre drilling rig is a facility husing equipment t drill fr il and natural gas frm undergrund reservirs. Smetimes a drilling rig is als used t cmplete (prepare fr prductin) the well. The rig itself is nt invlved with the extractin f the il, hwever. Its primary functin is t make the hle in the grund s that the il can be prduced. An ffshre il platfrm is a structure used t huse wrkers and machinery needed t prduce il and natural gas in the cean. Depending n the circumstances, the platfrm may be attached t the cean flr r flat. A typical platfrm may have many wellheads and access reservirs using directinal drilling bth at different depths and at remte psitins miles away frm the platfrm. Platfrms may als cnnect t many subsea wells n the seaflr miles away. Drill Ship DRILLING PLATFORM TYPES: Jack-up rigs are twed t the drilling site, three r fur legs are lwered until they penetrate the cean flr t the pint f resistance. This allws the wrking platfrm t rest abve the surface f the water, as ppsed t a flating barge. Hwever, jack-up rigs are suitable fr shallwer waters, as extending these legs dwn t deeply wuld be impractical. These rigs are typically safer t perate than drilling barges, as their wrking platfrm is elevated abve the water level. Semi-submersible platfrm Drill ships have a bradly cnventinal ship s hull, but als feature a large aperture, knwn as a mn pl, thrugh which drilling takes place. Drill ships use either anchrs r dynamic psitining t maintain statin. Drill ships can perate in mre than 10,000 feet f water. Semi-submersible drilling platfrms are supprted primarily n large pntnlike structures submerged belw the sea surface. The perating decks are elevated perhaps 100 r mre feet abve the pntns n large steel clumns. This design has the advantage f submerging mst f the area f cmpnents in cntact with the sea and minimizing lading frm waves and wind. Semi-submersibles are usually anchred with six t twelve anchrs tethered by strng chains and wire cables, which are cmputer cntrlled t maintain statinkeeping G Street, NW, Suite 900, Washingtn, DC Tel Fax

6 PRODUCTION PLATFORM TYPES: Fixed Platfrms sit n legs anchred directly in the seabed, supprting a deck with space fr drilling rigs, prductin facilities and crew quarters. Fixed platfrms are ecnmically feasible fr installatin in water depths up t abut 1,700 feet (520 m). Cmpliant Twers cnsist f narrw, flexible twers and a piled fundatin supprting a cnventinal deck fr drilling and prductin peratins. Cmpliant twers are designed t sustain significant lateral deflectins and frces, and are typically used in water depths ranging frm 1,500 and 3,000 feet (450 and 900 m). Tensin-Leg Platfrms (TLPs) cnsist f flating rigs tethered t the seabed in a manner that eliminates mst vertical mvement f the structure. TLPs are used in water depths up t abut 6,000 feet (2,000 m). There are numerus types f ffshre platfrms. Mst f the platfrms destryed by Hurricanes Katrina and Rita in 2005 were the lder, fixedleg type. Semi-Submersible Platfrms have several legs which have sufficient buyancy t cause the structure t flat. Semi-submersibles can be mved and are generally anchred by mring cables and anchrs. Semisubmersibles are used in depths greater than 600 feet (200 m). Spar Platfrms are mred t the seabed like the TLP, but use mre cnventinal mring lines. The Spar has mre inherent stability than a TLP since it has a large cunterweight at the bttm. It als has the ability, by use f chainjacks attached t the risers, t mve hrizntally ver the il field. Flating prductin, strage and fflading systems (FPSOs) are large ships equipped with prcessing facilities and mred t a lcatin fr a lng perid G Street, NW, Suite 900, Washingtn, DC Tel Fax